Here are 7 tips that are more like principles on budgeting and taking control of your income. I intend to expand on these as we go along, but you need start thinking about your money and where it goes.
1) Do you control your money or does your money control you? Be honest with yourself….know where you are financially. Without knowing, you can’t deal with your situation or turn it around to make it better.
2) Use an envelope system….allocate an amount of money for your needs (as determined by your budget). More on this later.
3) Save first….you can live on less! By putting aside even a small amount of money you can start to see your savings grow eg. $5.00/week = $260/year.
4) Spend less….ask yourself “do I really need to spend this money now? Can it wait a bit longer?” Remember, you can only spend your money once.
5) Treat yourself every now and then – no, this does not mean daily or weekly. It means when you have achieved a goal (big or small).
6) Use cash, not credit card. Learn to SAVE and purchase items in cash.
7) Create a financial reserve.
Tuesday, December 15, 2009
Saturday, November 21, 2009
Introduction to How To Make A Budget Today
My mother grew up knowing both riches and poverty. During her marriage she again knew about good times and bad times. Once my parents divorced she scrimped and saved every penny she made to keep a roof over our heads and put food (of some description) on the table. Her aim was to ensure that the mortgage was paid off so that she had security for us. And guess what, she did!! This was a huge lesson in keeping focussed on a goal and succeeding.
I am so grateful to my mum who taught me so much about budgeting and living on a shoestring budget. This doesn't mean having to be miserly, but to be money savvy.
It is from experience, and a keen interest in budgeting, that I write about the importance of living within our means (a novel though for people of this generation). Sadly, we are all too keen to 'keep up with the Jones' and put up a false front that says we can spend more, when in fact that spending leads us into more debt.
So, why this blog?
A good question, as I have been putting this off for far too long .... that is what FEAR does! So I thought I would overcome my fear and help others to get over their fear....the fear of not knowing where your money is going. Do you know what you are spending your money on? It could come as quite a surprise. Stay tuned and I will endeavour to help you to make your own budget, whether it be creating a personal budget work sheet or a household budget worksheet.
By the way, my name is Karen and I hope through knowing how to make a budget today, you will be in a better financial position to reach your goals. Next I will share 10 tips on how to budget and be money wise.
If you have any comments or questions, please contact me at BudgetToday@gmail.com
I am so grateful to my mum who taught me so much about budgeting and living on a shoestring budget. This doesn't mean having to be miserly, but to be money savvy.
It is from experience, and a keen interest in budgeting, that I write about the importance of living within our means (a novel though for people of this generation). Sadly, we are all too keen to 'keep up with the Jones' and put up a false front that says we can spend more, when in fact that spending leads us into more debt.
So, why this blog?
A good question, as I have been putting this off for far too long .... that is what FEAR does! So I thought I would overcome my fear and help others to get over their fear....the fear of not knowing where your money is going. Do you know what you are spending your money on? It could come as quite a surprise. Stay tuned and I will endeavour to help you to make your own budget, whether it be creating a personal budget work sheet or a household budget worksheet.
By the way, my name is Karen and I hope through knowing how to make a budget today, you will be in a better financial position to reach your goals. Next I will share 10 tips on how to budget and be money wise.
If you have any comments or questions, please contact me at BudgetToday@gmail.com
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